Employee resource groups (ERG) are internal company groups that are managed by employees on a voluntary basis. ERGs can focus on social issues such as ecology or health, on professional context such as engineers, programmers, as well as on issues of diversity such as the career of women, people with disabilities, the LGBTI+ community and others. Often, resource groups are formed because people from marginalized groups want their employers to create a network to maintain their needs locally. The “Think Globally, Act Locally” approach works best when there are employees who care about diversity and inclusion and are supported by their leaders and senior managers.
Many large organizations have a strategy for diversity and inclusion or a complete ERG strategy. The organization can either start ERGs or invite groups of employees to form an ERG.
What motivates leaders to start ERG?
ERGs are created because they can serve as a resource for their members, promote diversity and inclusion in the company, and stimulate business results for the organization. Each group can have different goals, play different roles and bring different benefits depending on the organizational and social context, as well as what the members and the organization themselves need.
What data and information is needed to start ERG?
The company needs to know which different groups are well-presented and insufficiently represented in the organization. In addition, with the help of the Human Resources Department, it can be determined whether a company has problems with the recruitment and encouragement of women, representatives of LGBTI+ community or people of different ethnicities.
What budget is needed to start such a resource group?
Financial support is very important for maintaining the work of ERGs. The executive sponsor is the one who will support efforts to receive funding, but the group must sometimes raise funds themselves. A budget will probably be allocated from the company, but employees will have to be informed that they are responsible for the allocation of funds and what projects will support.
It is also possible for a resource group to work without a formal budget, but you will have to rely on time, experience, creativity and competences of members and employees of the company.
How big are ERGs?
ERGs can be large global organizations with thousands of members and a significant budget or local initiative with only a few members. They may have a complex management structure, including president, vice president, secretary, treasurer, coordinators, various committees, advisory council and executive sponsors, or may have a management team, members and an executive sponsor. It all depends on the size of the organization, the way it works, the social context and what the members and the organization itself need.